A company that uses the last-in, first-out (LIFO) method of inventory costing finds at an interim reporting date that there has been a partial liquidation of the base-period inventory level. The decline is considered temporary, and the base inventory will be replaced before year-end. The amount shown as inventory on the interim reporting date should

a. Not consider the LIFO liquidation, and cost of sales for the interim reporting period should include the expected cost of replacement of the liquidated LIFO base.

b. Be shown at the actual level, and cost of sales for the interim reporting period should reflect the decrease in LIFO base-period inventory level.

c. Not consider the LIFO liquidations, and cost of sales for the interim reporting period should reflect the decrease in LIFO base-period inventory level.

d. Be shown at the actual level, and the decrease in inventory level should not be reflected in the cost of sales for the interim reporting period.